Bullish option flow was detected in BAC stock on February 4, 2022.
Bullish Option Flow
Make sure to review this lesson on option flow so that you understand the image above.
Bank of America price target raised to $53.50 from $52.50 at JPMorgan
On February 3, 2022, JPMorgan analyst Vivek Juneja raised the firm’s price target on Bank of America to $53.50 from $52.50 and keeps an Overweight rating on the shares. Higher interest rates will be the main driver of bank earnings followed by some benefit from better loan growth, Juneja tells investors in a research note. The analyst continues to recommend bank stocks due to their sensitivity to higher rates, the recovery in consumer spending and loan growth, “plus attractive valuations.”
Morgan Stanley, BofA, Wells won earnings season, all worth buying, Barron’s says
On January 22, 2022, of the six big banks that posted fourth-quarter results this month, only three saw their stocks rise on their respective earnings day: Morgan Stanley (MS), Bank of America (BAC), and Wells Fargo (WFC), Carleton English writes in this week’s edition of Barron’s. The banks differ in areas of focus, but they share one key thing: better expense management than their less fortunate peers, he adds. Looking ahead, an investor can’t go wrong choosing any of these three stocks, albeit for very different reasons, the author contends. Source: https://www.barrons.com/articles/buy-bank-stocks-bank-of-america-wells-fargo-morgan-stanley-51642812084?mod=past_editions
Bank of America price target raised to $55 from $50 at Argus
On January 20, 2022, Argus analyst Stephen Biggar raised the firm’s price target on Bank of America to $55 from $50 and keeps a Buy rating on the shares after its Q4 earnings beat. Results benefited from loan loss provision reversal of $489M – the fourth consecutive quarter of reversal – while the company’s net interest margins should also begin to improve in 2022 as interest rates start to rise, the analyst tells investors in a research note. Biggar adds that at 14.5-times his expected 2022 EPS, the stock is “attractively valued”.
Bank of America Reports Fourth-Quarter 2021 Financial Results
On January 19, 2022, Bank of America reported its fourth-quarter 2021 financial results. Bank of America reported Q4 EPS of 82c versus the consensus estimate of 76c. The company reported Q4 revenueThe income statement provides a summary of a company's revenue and expenses over a specified period of time, typically a year or a quarter. It shows the company's total revenue, th... of $22.1B versus the consensus estimate of $22.23B.
Chairman and CEO Brian Moynihan said: “Our fourth-quarter results were driven by strong organic growth, record levels of digital engagement, and an improving economy. We grew loans by $51 billion and added $100 billion of deposits during the quarter, further strengthening our position as the leader in retail deposits. We earned a record $32 billion in 2021, with every business line solidly contributing. In Consumer, we added millions of new credit card accounts and nearly a million net new checking accounts as we continued to demonstrate the value we provide through our physical and digital capabilities. Wealth Management had record client flows and the strongest client acquisition numbers since before the pandemic. Investment Banking had its best year ever and Global Markets had its highest sales and trading revenue in a decade, led by record Equities performance as we invested in the business.”
📺 Bank of America: The End Game | BAC Stock | Invested[embedyt] https://www.youtube.com/watch?v=h0WKWPVUvdQ[/embedyt]
📈 BAC Stock Technical Analysis
Both the short term and long term trends are positive. This is a very positive sign. BAC is part of the Banks industry. There are 325 other stocks in this industry. BAC outperforms 84% of them. BAC is currently trading in the upper part of its 52 week range. The S&P500 Index is also trading in the upper part of its 52 week range, so BAC is performing more or less in line with the market.
There is a support zone ranging from 45.01 to 46.91. This zone is formed by a combination of multiple trend lines and important moving averages in multiple time frames. There is support at 43.86 from a horizontal line in the weekly time frame. Finally, there is a support zone ranging from 43.14 to 43.15. This zone is formed by a combination of multiple trend lines in the daily time frame.
There is a resistance zone ranging from 49.19 to 49.22. This zone is formed by a combination of multiple trend lines in multiple time frames.
BAC has an excellent technical rating, but the quality of the setup is only medium at the moment. BAC stock has a Setup Rating of 4 out of 10. Price movement has been a little bit too volatile to find a nice entry and exit point. It is probably a good idea to wait for a consolidation first. Click here to sign up for email alerts on when BAC stock consolidates and has a Setup Rating of 8 or higher.